Annual Service Billings

February 14, 2005 (QHR – TSX Venture Exchange) Mr. Al Hildebrandt, President and CEO of the Company, reports that the Company has issued its annual service billings for 2005 to its customers. For 2005, the billings exceed CDN$1,400,000 compared to CDN$1,000,000 for 2004, an increase of 40%. These amounts cover annual support and maintenance contracts previously negotiated with the Company’s clients.

The growth is attributed to the increase in the number of employees licensed for use under Quadrant HR and other consulting services. QHR Software Inc., QHR Atlantic Software Inc., and Optimed Software Corporation, all wholly owned subsidiaries of QHR, will deliver these services during the year.

This annual source of capital provides cash resources to the Company to fund client support, product development and business expansion. These transactions will be recorded as deferred revenue on the Balance Sheet of the Company and will be recognized as revenue during fiscal 2005 on a monthly basis in accordance with Generally Accepted Accounting Principles (“GAAP”).

These annual service contracts have allowed the Company to build a reliable source of funds to operate in a debt free environment. Available cash reserves have grown steadily to very healthy levels as reported on the financial statements. Over the past several years, the Company has steadily improved its financial health to current levels. Technology accounting according to GAAP, however, continues to penalize the reported results of the Company due to the interpretation of the unique long term contractual arrangements required by the Company’s health care clients. The growth of cash reserves is a good indicator of the actual strength and growth of the business operations of QHR.

For a more complete business and financial profile of the Company, management encourages interested parties to visit the Company’s website, www.QHRtechnologies.com.

On behalf of the Board of Directors
Al Hildebrandt President & Chief Executive Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.